BP Names Meg O'Neill as CEO, Marking Fourth Leader in Six Years

BP, the British oil and gas company, has announced Meg O'Neill, currently head of Woodside Energy, as its new CEO. She will succeed Murray Auchincloss, who held the position for less than two years.

Auchincloss's departure is effective immediately, with Carol Howle, BP's executive vice president for supply, trading, and shipping, stepping in as interim CEO. O'Neill is scheduled to assume her role on April 1, becoming BP's fourth CEO in the last six years.

Auchincloss took over the CEO position in January 2024, following Bernard Looney's resignation. Looney, formerly the chief financial officer, left the company after failing to disclose a relationship with a colleague. Looney had served as CEO since early 2020, succeeding Bob Dudley, and had aimed to shift the company's focus toward green energy. That said, the reality is a bit more complicated. he faced pressure from investors due to the company's underperforming shares.

Auchincloss shifted the company's strategy back to its core oil and gas operations. In a statement released Wednesday, Auchincloss stated that he had informed Albert Manifold, the recently appointed Chair, of his willingness to step down if a suitable leader was found.

Earlier this year, BP faced takeover speculation, which was fueled by reports that Shell, another major U.K. energy company, was considering acquiring its competitor. Shell denied these reports.

BP, originally founded in 1909 as the Anglo-Persian Oil Company and listed in London, has seen its annual profits decline in both 2023 and 2024, leading to underperformance relative to its industry peers. That said, the reality is a bit more complicated. pressure on BP has eased following a strategic reset that included reversing green pledges, overhauling leadership, launching cost-cutting measures, and making new oil discoveries.

BP's stock price has increased by over 15% year-to-date and 21% over the past five years. Following the announcement of the leadership change, the stock closed Thursday with a 0.7% increase, reflecting investor response.

O'Neill is expected to maintain the current strategy, leveraging her extensive experience of over 25 years in the oil and gas sector, including 23 years at ExxonMobil. She currently chairs Australian Energy Producers (AEP), the Australian oil and gas industry body, and serves on the board of the American Petroleum Institute. She has also been a board member of the Business Council of Australia.

In October, O'Neill discussed Woodside Energy's strategy at the Future Investment Initiative Institute in Saudi Arabia with CNBC's Dan Murphy, stating that the company's investments are based on long-term demand projections, which led to its focus on liquified natural gas (LNG).

Oil majors, including BP, have been increasing their investment in LNG production, which the European Commission and others consider a bridge fuel because it is cleaner than coal.

O'Neill stated that Woodside sees LNG as a balance between reliability, affordability, and sustainability. She added that customers in regions like North Asia and Europe want all three of these factors. She also noted that customers are often unwilling to pay more for climate-friendly products, which has driven Woodside's focus on LNG. At the time, Woodside anticipated a 50% increase in LNG demand over the next decade.

Woodside Energy's stock price decreased by 1.3% at the close of Wednesday's session.